Uniqlo owner Fast Retailing's operating income beats pre-pandemic level
16 January, 2021
Who owns Japanese clothing chain Uniqlo said on Thursday its quarterly operating profit beat pre-pandemic amounts, boosted by China's resurgence and solid demand for comfortable clothing such as stretchy jogging pants.
Fast Retailing's profit on the three months through November rose to 113.1 billion yen ($1.09 billion), up 23% from a year previous when the novel coronavirus outbreak acquired yet to emerge.
That defeat the market's consensus check out of 104.7 billion yen, although quarterly sales of 619.8 billion yen missed expectations for 640 billion yen, according to the average of analysts' forecasts from Refinitiv.
Fast Retailing features widely been viewed as probably the most resilient sellers amid the global virus pandemic, despite suffering a hit in the first days from its reliance on China for both manufacturing and sales.
It runs about 800 Uniqlo stores found in mainland China, approximately the same number just as in its market, Japan.
Both nations escaped the brunt of the explosive outbreaks suffered by various other markets such as the United States and Europe, meaning Uniqlo - which includes yet to get traction there - has been spared the worst of the global retail downturn.
The business said it booked a "large" revenue gain in mainland China found in the quarter, helped by strong demand for warm clothing and growth in online sales.
Both Uniqlo and cheaper sister manufacturer GU have benefited from good demand for the kind of comfortable wear well-liked by stay-at-home personnel and students, such as loose-fitting T-shirts and stretchy pants.
Fast Retailing said its AIRism masks made out of breathable fabric, in addition to a sell-out collection with custom Jil Sander, helped pull customers to stores in Japan in the one fourth.
It preserved its forecast for 2.2 trillion yen in product sales and operating income of 245 billion yen because of its fiscal year through August.
Source: japantoday.com
TAG(s):